Thursday Market Update: Sensex falls by 1066 points over Profit Booking

Markets at a Glance:

The 10-day longest winning rally in recent years of Indian stock markets ended today, as many investors went for profit-booking. Global cues like resurgence of COVID-19 in European countries as well as no hope over US stimulus package before presidential election, also catalyzed the fall.

Sensex fell by 1066.3 points and settled around 39728.41, while Nifty plunged by 290.7 points and closed at 11680.35. All sectoral indices were in red, with Bank, Fin Services and IT sectors leading the downfall. India VIX, which measures volatility as well as fear in the market, also increased by over 9%.

Broader market of Midcap and small cap was also down by more than 1.5%.

Top Gainers/Losers of today’s market:

Only three companies viz. Asian Paint, JSW Steel and Coal India were able to manage some marginal gains in Nifty50, remaining 47 stocks were in red. Bajaj Finance, Tech Mahindra, ICICI Bank, IndusInd Bank and Reliance Industries were among the top losers today.

DII/FII Data of today’s market:

DII and FII both did a major sell-off and took away Rs.808.29 and Rs.604.07 crore respectively.

Likhitha Infrastructure debuts today at around 8.3% premium to its issue price:

Stock of Likhitha Infrastructure made a decent entry in Indian stock markets, as the scrip got listed at Rs.130 on NSE, around 8.3% premium to its IPO price of Rs.120. Moreover, the stock touched upper circuit in the day and closed around Rs.136.5.

Its IPO got an overall 9.51x subscription, while retail category got subscribed by more than 23 times.

Tata Elxsi reported 58.3% rise in Q2 net profit on YoY basis:

Tata Elxsi posted Rs.78.8 crore profit for September quarter which is 58.3% more than its last year’s same quarter net profit. It reported Rs.49.8 crore profit in last year’s Q2. Its revenue from operations also soared by 11.5% to Rs.430.2 crore. The company’s growth was driven by both its key businesses — Embedded Product Design (EPD) and Industrial Design and Visualisation (IDV).

Company also announced its selection as a 3PL certification partner for Google Widevine, to deliver secure premium content protection for Broadcast, Media, Consumer Electronics and Automotive applications. Company’s stock closed 0.6% higher at Rs.1468.

Supreme Court asks government to implement interest waiver scheme ASAP:

Government decided to waive off interest-on-interest over six months COVID moratorium period till August end for loan amounts up to Rs.2 crore and sought one month window up to 15^th November to implement the same. Supreme court welcomed the move but objected to the one-month window period.

SC asked government to implement it at earliest. Government will compensate banks for this interest waiver scheme.

Quick Bytes:

• Q2 Earnings today: Mindtree, Jupiter Infomedia, Hathway Cable, Cyient, Dolat Capital, South Indian Bank and Trident.
• Equitas Small Finance Bank fixes IPO price band of Rs 32-33 per share, amounting up to Rs.280 crore.

Read our yesterday’s market update here.

Read out market prediction here.